China’s zero-coronavirus policy has businesses fearing Ghost of Covid Future
- December and January typically mark the peak shopping period for Lunar New Year gifts, but lockdowns and an uncertain 2022 have crippled domestic consumption
- There are growing concerns within China over the cost of maintaining such restrictive coronavirus-control measures
This was supposed to be the most wonderful time of year for China’s retailers.
But even with the Lunar New Year just a month away, Huang Hongmei, a vendor who made a living by selling garments in Guangzhou, has packed up and left the city during what is usually the peak period for gift purchases ahead of the holiday.
“It is equivalent to earning about 30 yuan (US$4.70) per day – not enough to pay for meals, let alone rent and gas,” Huang said. “Many people like us can’t make any money.”
She laments how it became increasingly common for potential customers, often middle-aged women, to try on a 30-yuan sweater, mull over whether it was worth the purchase, then leave without buying.
An earlier lockdown in June cost Huang a month’s income as nearly 600,000 residents in Guangzhou’s Fangcun district were isolated for 27 days after local health officials confirmed at least 26 cases.